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8 min ago 2 min read
Global electronics manufacturer Tata Electronics has signed a deal with Netherlands-based semiconductor equipment manufacturer ASML for the supply of equipment to support the development of a $11bn semiconductor fabrication facility in Dholera, Gujarat.
A signed memorandum of understanding (MoU) will see ASML supply advanced lithography systems, used in microchip manufacturing, for the site. The company said the technology will support semiconductor research initiatives and strengthen supply chain resilience.
Tata Electronics’ 300 mm (12-inch) semiconductor fab is believed to be India’s first commercial-scale semiconductor fabrication facility and will support the automotive, mobile devices, and AI sectors on a global scale.
Initial chip production at the Dholera fab is expected by December 2026.
Dr Randhir Thakur, CEO and Managing Director of Tata Electronics, said, “ASML’s deep expertise in holistic lithography solutions will ensure the timely ramp of our fab in Dholera [and] it will go a long way in building a strong semiconductor ecosystem in India.”
Industrial gas major INOX Air Products (INOX AP) of its specialty gas facility in Dholera in October and plans to supply ultra-high-purity gases to Tata Electronics fab and the wider domestic semiconductor industry.
India wants to reduce its import reliance on semiconductor chips and establish itself as a hub for electronics manufacturing. Gujarat has emerged as a hotspot for semiconductor development.
To support this, the Indian government has approved representing a total investment of approximately Rs 1.64 lakh crore ($17.4bn).
By 2030, the global semiconductor industry is expected to grow to $1 trillion, and Indian semiconductor demand is expected to cross $110bn.
